The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
Manufacturing Manufacture Of Computer, Electrical Electronic And Optical Products Manufacture Of Electrical Equipment 27 - Manufacture of electrical equipment
740 jobs Number of planned job losses
Announcement Date
20 December 2010
Employment effect (start)
30 April 2011
Foreseen end date
31 December 2013
Description
Electrolux, a producer of domestic appliances, is to cut 800 jobs at its main Italian plants located at Porcia (1,500 employees) and Susegana (1,300 employees), in the North-East of Italy. The job-cuts are included in the 2011-2012 European industrial plan that the company has announced few days ago. The national reorganisation plan should be presented in the first months of 2011. The trade unions reacted to the company's decision by asking the involvement of the Ministry of Labour in order to avoid layoffs in the Electrolux Italian plants. In recent years, the Electrolux Italian plants were subjects of other reorganisation plans which envisaged several job cuts.
UPDATE 25 MARCH 2011:
After two months of negotiations, on 25 March 2011 Electrolux and trade unions (with the support of the Ministry of Economic Development) reached an agreement on the 2011-14 industrial plan. The agreement provides for 740 job cuts, instead of 800, as previously announced by the company. But the agreement envisages also new investments in the Italian plants and various measures (some of them are innovative) in order to reduce the negative effects for the redundant workers. In particular, company provides for economic incentives for voluntary dismissals. The amount will change depending on the use of incentives (with the aim to promote forms of entrepreneurship; or the shift to a part-time contracts; or direct dismissals without the recourse to Wage Guarantee Fund schemes and mobility procedures; or the access to outplacement services). Moreover, the agreement provides for the recourse to the extraordinary Wage Guarantee Fund scheme for 600 workers on rotation basis. In order to make easier the re-employment of redundant workers, company will supply outplacement services to workers and economic incentives to companies which will hire the redundant workers.
In addition, Electrolux will lend free parts of its plants located at Porcia and Susegana to SMEs which will propose new industrial plans, including re-employment of some redundant workers (an advisor will assess the SMEs proposals and local authorities will invest financial resources in order to facilitate the reindustrialisation process of the areas). Lastly, Electrolux will invest EUR 172 million in its Italian plants in the next three years. Before the agreement may fully come into force, it first has to receive the approval of all workers, through a referendum which is taking place at the end of March.
Sources
26 March 2011: Il corriere della sera
21 December 2011: Il Sole 24 Ore
26 March 2011: Il Sole 24 Ore
Citation
Eurofound (2010), Electrolux, Internal restructuring in Italy, factsheet number 71336, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/71336.
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